Country Specific Business Analysis Mexico: Nayan Kumar Oram Rashid Khan MD - Kadir

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COUNTRY SPECIFIC BUSINESS ANALYSIS

MEXICO

Nayan Kumar Oram


Rashid Khan
Md.Kadir
DEMOGRAPHICS
Mexico is the most populous Spanish-speaking
country in the world, the second-most populous
country in Latin America after Portuguese-speaking
Brazil, and the second in North America, after the
United States.

Population - 112,468,855
Family size – Older family more children ,younger
family 2-3 children
Age structure

0-14 years: 29.1% (male 16,544,223/female 15,861,141)

15-64 years: 64.6% (male 34,734,571/female 37,129,793)

65 years and over: 6.2% (male 3,130,518/female


3,811,543)
Income distribution:

The Mexican standard of living is way below the US or


Europe.
GDP-per capita $ 14,534 ( $2,549 India)

Inflation 4%-5% ( 11% India)

Labor force:
41.8 million (467 million India)
Labor force by occupation - Services 56%, Industry 24%
Agriculture 20% Un employment -2 %
India Labor force by occupation Agriculture -17.5 %,
Industry-20%. Services-62.2%

Economy:
Annual real GDP growth 4%-5% (8%-9% India)
CULTURAL ISSUE
Language:
Mexico is the most populous Spanish-speaking
country in the world.
62 indigenous Amerindian languages as national
languages.

Religion:
The Spanish arrival and colonization brought Roman
Catholicism to the country, which became the main
religion of Mexico.
Education:
Education in Mexico is regulated by the Secretariat of
Public Education
P primary school (primaria), 1-6
Junior high school (secundaria), 7-9
High school (preparatoria), 10-12.
Literacy:
Total population: 91%
Male: 92.4%
Female: 89.6%
Women treatment:
The modern Mexican woman is cosmopolitan,
professional, and well respected.

If you are a woman planning to do business in Mexico,


whether independently or as part of an organization,
you should find that you are accepted, respected and
treated very courteously and professionally by the
majority of business people.
TRADE BARRIERS
NAFTA:
The North American Free Trade Agreement (NAFTA)
between the United States, Canada, and Mexico
entered into force on January 1, 1994, and created the
world’s largest free trade area.

Bilateral TRADE:
The U.S. is Mexico’s largest trading partner, buying
87% of Mexican exports . Mexico is the third largest
U.S. trading partner after Canada and China.
WTO: Mexico is an active and constructive member of the
World Trade Organization (WTO), the G-20, and the
Organization for Economic Cooperation and Development
(OECD). The Mexican Government and many businesses
support a Free Trade Area of the Americas.

Agricultural TRADE:
Mexico became the United States’ second largest
agricultural trading partner .
Over 81% of Mexico’s agricultural exports go the U.S.
Foreign Direct Investment:
NAFTA, proximity to the United States, and continued
political and economic stability make Mexico an
attractive location for foreign direct investment (FDI).

About half of the FDI investment to Mexico came


from USA. Holland and Spain followed suit with an
investment percentage of 15% and 10% respectively.

The Mexican Government estimate of FDI for 2010 is


$15 billion to $20 billion.

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